Tucci's storage giant sees impressive growth despite "unprecedented IT and business transformation"
Storage giant EMC has seen another quarter of stellar growth, with revenue and profit both climbing significantly.
Driven by the increasing demand for cloud computing, revenue at EMC for the first quarter of 2012 rose from $4.6bn a year ago to $5.1bn this time, an increase of 10.8%. Net income (attributable to EMC) shot up 22.8%, from $477.1m to $568.8m.
The company's cash pile increased slightly, from $4.5bn at the end of the previous quarter, to just under $4.7bn this quarter.
Diving down into EMC's products, its mid-tier storage products portfolio saw revenue increase by 26%, Isilon scale-out NAS business nearly doubled its revenue year over year. Its VNX unified storage family, Backup Recovery Systems (BRS) portfolio and Greenplum also saw revenue growth, EMC said.
Revenue from operations outside the US grew 10% year over year and accounted for 48% of consolidated first quarter revenue. EMC's Asia Pacific and Japan region grew 20% in terms of revenue to its highest ever figure, while Latin America also grew 20% year on year. However the perilous economic situation in the EMEA region, particularly in the Eurozone, saw revenue climb just 6%.
"We are in a time of unprecedented IT and business transformation, propelled by the benefits of cloud computing, Big Data and trust," said Joe Tucci, EMC CEO. "EMC is off to a strong start to 2012 and is exceptionally well-positioned to help customers take advantage of these major transformational shifts."
David Goulden, EMC CFO added: "EMC's solid first-quarter results are ongoing proof that we are executing on our strategy and on track to deliver our 'triple play' - simultaneously taking market share, reinvesting for growth and delivering improved earnings this year."
Goulden added that this quarter's performance means the company is on target to hit financial goals this year.
"Based upon our strong start to the year and our opportunity, we now have greater confidence in our ability to meet and potentially exceed our 2012 financial goals for consolidated revenue, non-GAAP EPS and free cash flow," he said. "Additionally, with continued steady execution, we are well on our way to achieving the financial potential of 2014 consolidated revenue of over $28bn, which represents compound annual revenue growth of at least 13% from 2010 and non-GAAP EPS growth even greater than this."